Orange juice prices to rise

Weather-related shortages of juicing oranges around the world could see the price of freshly squeezed juice rise by up to 30p a litre, according to experts.

Florida harvests were hit by poor weather during the hurricane season; frosts in South America and floods in South Africa have all resulted in lower than average yields.

Experts have warned that the freshly squeezed juicing sector will be most affected, as it is restricted in the type of oranges it can use, and prices could rise by 20-30p a litre.

The US Department of Agriculture has anticipated a harvest of 135 million boxes of oranges in 2006/2007, compared to 147.9 million last season, due to hurricane damage.

Floods in South Africa have caused a shortage of crops and delayed picking.

Nearly half of Uruguay and Paraguay’s crops were wiped out by frost and Brazil, responsible for nearly half the world’s orange juice sales, will absorb the majority of its crop this year, according to reports.

A frost in Australia has also put pressure on world supplies, with the country importing more oranges than normal.

However, the British Retail Consortium said the price hikes only represented a short-term setback, with suppliers and processors avoiding the bulk of the problem by buying ahead.

Sainsbury’s said its price for orange juice would not increase.